What you'll learn
Why businesses exist and what they need to operate.
Key ideas
- Enterprise and the role of the entrepreneur in taking risks and spotting opportunities.
- The factors of production: land, labour, capital and enterprise.
- Goods vs services; needs and wants; adding value.
- Risk and reward and business aims/objectives.
Exam tips
- Apply concepts to the case study business.
- Use business terms precisely.
Common mistakes
- Confusing aims with objectives.
- Forgetting the entrepreneur's role in risk.